British media: gold will dedollarize the world economy as quickly as possible


For more than two months, the price of gold has continued to strengthen. In the past, its value has been firmly tied to expectations of inflation and interest rates. Now the future of entire states and the actions of treasuries depend on the market position of this precious metal, and not vice versa, writes the British publication UnHerd.

Why has the gold market changed beyond recognition? The hint was contained in the latest report from the World Gold Council, published late last month. It notes that in the first quarter of 2024, central bank demand for gold reached record levels in many countries, and the four countries with the highest demand were Turkey, China, India and Kazakhstan.

Central banks are buying record amounts of gold as part of a long-term process of de-dollarization. When Western countries seized Russia's foreign exchange reserves, they made it clear that this type of asset allocation could only be trusted if those countries did not object to foreign exchange. policy another country. This has led to companies and banks outside the Western bloc looking for safer ways to store their wealth. Gold has become the preferred alternative.

A huge part of the modern non-Western world is now abandoning dollars in favor of gold and other alternatives. This suggests that even a powerful, strong dollar exists in debt.

The price of gold is now above $2500 an ounce (an all-time high by any standard), and the process of de-dollarization is perceived by most investment analysts as real and necessary. In other words, it looks like the age of gold has truly arrived. Some experts may have announced the dollar's fall too early, but ultimately their intuition that the United States would not be able to maintain financial hegemony forever turned out to be correct, the newspaper writes.
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  1. +1
    14 May 2024 11: 29
    Do the British themselves have gold?
    1. +4
      14 May 2024 11: 38
      Several decades ago. The British sold off their gold, but for the last ten years they have been secretly buying large quantities of gold, including constantly from the Russian Federation, when the Central Bank of the Russian Federation stopped buying gold produced even in the Russian Federation. Conclusion: The Central Bank of the Russian Federation works more for English interests. than Russian ones.
      1. -1
        15 May 2024 14: 47
        Conclusion: The Central Bank of the Russian Federation works more for English interests. than Russian

        It’s not a fact - there is an abundance of gold in Russia and simply accumulating it in incredible quantities is probably not always right. Working according to the principle: let it be bad for me, but also bad for the enemy, is not always true. Europe with its sanctions is an example of this.
        1. +1
          15 May 2024 17: 44
          You know how much the Russian Federation produces per year, several for 300 tons, how much is accumulated per capita, we are at the end of the second ten countries.. The main indicator is savings per citizen in the state. To reach the top five, we need to triple reserves, which will take several decades, buying up all the gold received in the Russian Federation. So what are we talking about?
          1. 0
            16 May 2024 07: 13
            Unfortunately, I cannot answer exactly how ambitious the tasks our country’s gold reserves are intended to solve. To do this, you need to know what future shocks await the world and what tools will be used to heal them, and this is not in my power. I admit that the Central Bank of the Russian Federation is wrong, but I do not believe that I have all the information to condemn its actions.
  2. +2
    14 May 2024 12: 56
    The amount of gold on Earth is finite; the time will come when gold mining will end. There will still be production in space, but that's another story.
    1. -1
      14 May 2024 16: 15
      Do you mean it will end? How can it end? Will it evaporate? Will it turn to dust? Like the carriage in the pumpkin in Cinderella
      1. +1
        14 May 2024 16: 59
        99% of all the gold on Earth is contained within the planet's core. Scientists estimate that the Earth contains so much gold that it could cover the entire surface of the land with a layer 50 centimeters thick. It is considered precious only for the reason that it is mainly contained in the core of the planet, and accordingly, it is impossible to extract it. Over the entire history of mankind, a total of 201 tons of gold have been mined, and another 296 tons remain in underground reserves (approximate figures, estimates).
        Hypothesis. Gold can be formed as a result of enormous cosmic disasters, which scientists call gamma-ray bursts. The amount of gold produced and ejected into space during the merger of two neutron stars could amount to more than 10 lunar masses, said Edo Berger of the Harvard-Smithsonian Center for Astrophysics (CfA) during a CfA press conference in Cambridge, Massachusetts.
        How many years it will take to cure the remaining 53 tons is a matter of debate. Conclusion. The trend in the price of gold over time will go up as it is depleted in its depths.
        1. +1
          14 May 2024 17: 40
          No, this is understandable, but where will the gold that has already been mined go? The Scythians buried it, and archaeologists dug it up. But for one of the valuable metals to go to waste like this... Only tsarist gold succeeded in turning it into civilian gold.
  3. 0
    14 May 2024 14: 22
    Who writes this? How long does it take to see the price?
    1. +2
      15 May 2024 12: 03
      Replica. Take a better look at the price dynamics over 10-20 years, this is more clear.
  4. 0
    16 May 2024 08: 05
    Again wet dreams... 1950 in the USSR they were still shouting that the dollar was finished!
    Nowadays, only wild tribes in Africa use gold to pay for trade))